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Optimising the Advice Process for a Bank-Partnered Insurance Channel

Case Study / Creating a scalable, customer-centred advice model

LSI Consultancy partnered with a leading insurance provider operating through a major New Zealand bank’s intermediary channel to optimise its Independent Adviser (IA) Advice Process. The objective was to build a more effective, scalable, and customer-centred model that improved conversion and adviser productivity while maintaining compliance and cost efficiency.

The Challenge

Strong referral volumes, flat performance.

Conversion had plateaued. Advisers were tied up in administrative work, referral quality was inconsistent, and systems between the insurer and bank were disjointed. LSI was engaged to uncover the underlying causes, benchmark performance, and design a cohesive operating model that strengthened both customer experience and organisational performance.

What We Found

Five constraints limiting conversion and efficiency:

1. Referral quality and intent

Only half of referred customers wished to discuss insurance needs, leading to wasted effort.

2. Volume without outcome

Referrals were rising but issued policies were not, signalling declining lead quality.

3. Resource imbalance

Advisers were managing the full six-step advice process with minimal support.

4. Disjointed systems

Processes between insurer and bank lacked cohesion, creating duplication and poor visibility.

5. Incentive misalignment

Rewards focused on volume rather than engagement quality, driving inefficient behaviour.

These constraints reduced adviser effectiveness and limited sustainable growth.

Our Approach

Data-led diagnosis and design.

Using our proprietary Diagnose | Design | Deliver methodology, LSI reviewed the advice process from referral to policy issue through data analysis, workflow mapping, stakeholder engagement, and benchmarking.

Half of referrals could not be qualified and only 11 percent converted to policies, confirming inefficiency in referral quality and role deployment. Advisers were performing tasks that could be automated or delegated, while triage and feedback loops were missing.

Benchmarking showed that higher-performing insurers triaged leads before adviser allocation and used administrative or digital channels for data collection and scheduling. These insights guided a redesign focused on optimising roles, technology, and customer experience.

Designing The Future State

Six levers for improvement:

1.

Resource Optimisation

Roles were rebalanced to maximise capability and cost efficiency. Dedicated Insurance Consultant roles now manage qualification, scheduling, and documentation, freeing advisers for high-value client conversations.

2.

Data-Driven Performance Management

A performance model now tracks adviser productivity and referral quality. Branch-level analytics highlight regional variation and drive continuous improvement.

3.

Structured Triage

A triage framework validates referrals for completeness and intent before allocation, ensuring only qualified leads reach advisers. Matching is based on adviser expertise and geography to improve efficiency and customer fit.

4.

Customer Onboarding & Engagement

A digital onboarding experience with personalised emails, SMS updates, and a customer-portal concept created a warmer, more informed start. Customers can pre-populate key information before calls, reducing data-collection time and helping advisers begin conversations with clearer insight.

5.

Technology Enablement

A unified technology roadmap replaced ad hoc system fixes with one cohesive plan. Automation was prioritised for document processing and data entry, reducing administrative effort and improving accuracy. The roadmap aligns with the organisation’s digital strategy and sets the path for future integration and automation.

6.

Incentive Alignment

The incentive framework was redesigned to reward quality engagement and conversion, ensuring measures support both customer outcomes and compliance.

From Design To Delivery

Testing and proving the new model:

LSI supported early delivery to embed the design and test concepts through pilots.

A controlled pilot used email and SMS to trial customer-engagement ideas before investing in a full portal. Resource optimisation was also tested, with LSI staff facilitating triage to give advisers richer customer information before contact. These pilots proved the impact of front-end optimisation before scaling across the network.

LSI then worked with internal teams to refine and embed the model. Pilot regions received training and data feedback sessions, while cross-functional workshops aligned teams on process standards, data integrity, and operating rhythm.

The Results

Early, measurable improvement:

4% Increase

in policies issued.

8% Rise

in leads progressing to client engagement.

6% of Additional Leads

identified for future engagement through improved data capture.

Reduced Lead-Management Cost

through clearer task ownership and streamlined process.
The new model improved compliance assurance, customer experience, and operational visibility across the adviser network.

Sustaining The Gains

Capability transfer and next steps.

The engagement concluded with a roadmap for continued delivery through the client’s governance process, focusing on:

  • Enhancing digital onboarding and communication
  • Implementing triage automation and referral analytics
  • Refining the resourcing model to better utilise channel resources
  • Completing technology integration and governance
  • Aligning incentives to support quality engagement

The client now operates a scalable, data-driven model linking customer intent, adviser productivity, and business performance.

The Impact

Optimised, compliant, and customer-focused.

Through a data-led review and collaborative redesign, LSI optimised the client’s advice process across people, systems, and workflow. The new model simplified the front-end process, improved conversion, and reduced adviser effort.

The Outcome: a compliant, efficient, and customer-focused advice process that turns opportunity into measurable performance and lasting value.

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